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21 Cards in this Set
- Front
- Back
After recutiment and selection, the most important part of people management process is... |
Performance management, getting the best performance out of employees. To control that performance requires management monitoring. So we talk about the different ways employess are monitored by diffeent line managers in the organisation. They key process is APPRAISAL, the systen of performance management running through appraisal |
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Problems with assessing performance |
- monitoring the behaviour of people: behavioural aspect are teamworking, communication skills, innovation, creativity Managers must: - Set objectived (objectives can be output based, a number of items produced - evaluate the employees against those objectives periodically |
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Problems of bias when managers evaluate the performance of those they manage: |
- Halo/horns effect - Recency bias - Central tendency bias Theres so much bias that can be built into objective setting and measuring systems |
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Recency bias |
We as human beings are incredibly influenced by the last thing we've seen or heard. So, the recent past is far easy to recall, it has a much more influential effect on decisions, views, opinions, etc. |
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Central tendency bias |
If you were given the opportunity to evaluate someone and you're giving a scale, the tendency unless you are feeling really strongly either positively or negatively, its going towards the middle, and we do it with surveys all the time. Telling someone their around the middle is a lot more comfortable than telling someonw their far extreme negative. However, it produces effect that doesnt really capture the purpose of performance management. If everyone is average what the use in that. |
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So you have to fix that central tendency rating |
One of the things JACK WELCH introduced is a 20-70-10 system sometimes called forced ranking or forced distribution The system involved all managers ranking or rating their teams in the propositions defined by the organisation. So if you were in that 10% category, you've got a great reward, 70% absolutely fine and 20% is maybe not immediate but very quickly you were out the organisation. The idea behind this system was to really focus employees mind on their work, but most importantly to obliged managers to make a realistic evaluation of the best and the weakness performers YAHOO was one of the company who do it |
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Drawback of forced ranking systems |
1) Problems associated with FAIRNESS - the structure of the system - the allocation of employres to categorises - managerial bias - the risk of litigation 2) Problems associated with EFFECTIVENESS - creates competition between employees - presents implementation difficulties - leads to resentment by managers and employees |
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Problems associated with FAIRNESS |
Somewhere in the process, they're judging one employee against the other, not one employee against the actual performance but employees against employees. The allocation of employee categories can be incredibly problematic, what if theres no enough low performing individuals in your team? Managerial bias- favourtism in particular, familiarity and favourtism between a manager and a particular employee menas that they stand less chance of being poorly evaluated. Favourtism may increase the chance of being highly evaluated Litigation- its employees suing a company for unfair practice. Judgements around fair and particularly those that are potentially discriminatory are open to claims of unfair discrimination are open to litigation |
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Problems associated with EFFECTIVENESS |
Effectiveness creates competition between employees- the downside of competition is that they may be less co operative, less teamworking and less willing to help each other out. It also prevents implementation difficulties It can lead to resentment by managers and employees. Managers resent doing it because they know in many circumstances its unfair, uncomfortable and awkward for them to do |
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Talent management |
Is the process of mapping the performance and potential of employees within a department or a managerial team. |
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Talent matrix |
Answers these questions... Who needs development Who is ready for promotion Who needs to be retained (through incentives) Who needs to be managed out of the organisation The idea of this Matrix is that it allows you to position all your employees against two dimensions Potential and performance. |
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Performance |
Current performance is how they are performing in their current role. So, the measure of performance have some bias in then but nevertheless produce results. For each individual you have a measure of performance you can then categorise them according to their performance. |
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Potential |
It is really difficult to measure potential. Measuring potential is about looking into the future. Performance is not a great measure of potential. So potential, you're looking for things like the right training, future aspirations because you want to be able to assess from your team of employees whose got gross potential. |
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The problem with just looking at PERFORMANCE is something down with the PERTER PRINCIPLE... |
That individuals tend to promote to their level of incompetence that you're promoted. And you go up, so you are promoted in the organisation until you're no longer promotable and thats because you've reached your peak where you cannot be promoted anymore |
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Measuring potential therefore involves looking at diffrent aspects |
1) Competence: - Behaviour based competences - Work based competences 2) Ambition/drive BUT subjectivity in assessing potential Especially... - Cronyism - Favouritism - 'mini-me' effect |
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Behaviour based competences |
Will include aspects particularly attitudes, what is their attitude to work, it may br personal characteristics such as their work ethics or punctuality. |
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Work based competences |
Far easy to measure because its slightly related to performance. They are what technical skills do, they process abilities and knowledge. |
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Ambition and drive |
Potential is no use without drive. Someone can be really good but not driven, they wont achieve anything |
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Cronyism |
Is the familiarity you have with someone, someone who you know well, perhaps workinh with them for a long period of time. It distorts your judgement of them. Because you know someone, you may believe they have far more potential or far less potential than they actually have |
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Favourtism |
If you like someone, whatever the reason and thats going to distort your judgement of their potential in some way or indeed dislike them for some reason |
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Mini- me effect |
When line managers sees in someone things that remind them of themselves. Favouravle things that remind them of themselves. They then tend to judge them favourably because they think he or she is like them. |